A pair of tea party groups mounted the first lawsuits against the Internal Revenue Service over the agency’s targeting of conservative groups, claiming in a putative class action and an individual suit Monday that their tax-exempt status applications were illegally scrutinized.
In First United Security Bank v. McCollum, the Alabama Court of Civil Appeals addressed the rights of a lender that redeems property sold at a tax sale as a result of its borrower’s failure to pay his property taxes. In certain situations, the decision will penalize lenders and awards property owners with a financial windfall, says Jack Kubiszyn of Bradley Arant Boult Cummings LLP.
Not surprisingly, dark pools are beginning to crop up in litigation setting. More cases are focusing on the misuse of information contained in dark pool trades, as well as dark pools acting as conduits to insider trading. In fact, there appears to be a correlation between the growth of dark pools and the number of criminal insider trading cases brought by government officials, says Adam Werner of Berkeley Economic Consulting.
Recently, the U.S. Court of Appeals for the District of Columbia Circuit rejected Southern California Edison’s challenge to the Federal Energy Regulatory Commission's methodology for determining a company’s base return on equity. One noteworthy lesson from the case is that this method can have a material affect on the ROE, with a large revenue impact, say attorneys with Day Pitney LLP.
With the enactment of Civil Code Section 2782.05, the California Legislature has created a new regime to govern a subcontractor's duty to defend a general contractor or construction manager on most nonresidential projects. While this new regime appears intended to benefit construction participants, its lack of guidance will likely result in disagreements and litigation among the participants, say attorneys with Jones Day.
In its recent decision in Righthaven LLC v. Hoehn, the Ninth Circuit has made clear that courts must look beyond labels in agreements and evaluate the substance of the rights actually assigned in order to determine whether an assignee has standing to pursue a claim for copyright infringement, say Benjamin Marks and Elisabeth Sperle of Weil Gotshal & Manges LLP.
Federal contractors face significant cost increases and compliance requirements as a result of the health insurance reforms in the Affordable Care Act. To minimize costs and compliance risks in the future, companies should take a number of steps in the coming months, say attorneys with Arnold & Porter LLP.
Reading the U.S. Department of Justice's complaint challenging the consummated merger between Bazaarvoice Inc. and PowerReviews Inc. reminds me of the old Wendy’s commercial in which a little old lady looks at a tiny fast-food hamburger and asks, “Where’s the beef?” The absence of actual evidence of anti-competitive impact sits at odds with successful post-merger challenges, says David Balto of the Law Offices of David A. Balto.
Data mining has led, and will lead to, startling discoveries in the sciences. In the law, it may well lead to startling liabilities, especially if defendants are made to pay for harms foreseeable only by the most powerful software available, says David Oliver of Vorys Sater Seymour and Pease LLP.
Although more clarity is needed from administrative agencies and the courts regarding the contours of a lawful employee wellness program, it is definitely better at this point to structure such programs using rewards or incentives for participation as opposed to penalties for nonparticipation, says Kevin Kelly of Locke Lord LLP.
The long-awaited proposed reforms to California's Proposition 65 are welcome and needed as they would greatly reduce the number of frivolous Prop. 65 lawsuits and alleviate the defense costs for manufacturers, says Mark Johnson of Alston & Bird LLP.